Cabinet Endorses 500mln Birr Revolving Fund to Ease Cost of Living

ADDIS ABABA – The Cabinet of Addis Ababa City Administration has approved a 500 million birr revolving fund to ease the cost of living for the city’s residents.

The cabinet has also endorsed a 100 million support to two drought-affected regions of Ethiopia and passed a bill that allocates land for construction of an orphanage center by a non-governmental organisation.

Its members passed the decisions during their second regular session for the year on Tuesday.

Land for Orphanage Construction

Memebers of the cabinet first looked into a bill that allocates land for a construction of a foster care facility by an NGO, named  Hope for Children Organization Australia Ltd.

According to the city’s press secretary office, the bill, put forward by the land administration and development bureau of Addis ababa, proposed to allocate a land in District one of Yeka Sub-city.

According to the bill, the organisation use the land to construct the facility at a cost of 600 million birr.

Taking the importance of the project into account, the cabinet has approved the bill,  said the Press secretary Office.

It also decided that the bureau should provide the land as per a procedure previously used to entertain similar requests made by NGOs.

Humanitarian Response

The second agenda the cabinet discussed was the city’s response to people affected by drought in Oromia and Somali regional states.

A 100 million fund has been allocated to help the humanitarian response in the regions, according to the press secretary office.

The office said the regions will each receive 50 million birr from the newly approved fund.

A 500 revolving fund

Members of the cabinet, during their second regular session on Tuesday, have endorsed additional 500 million birr fund to help consumers unions to avail agricultural produce to residents at reasonable price.

“Consumer unions and cooperatives will get access to the fund in the form of a loan for the purchase of teff and wheat,” the press secretary said.

The Cabinet has decided that the cooperatives to carry out procurement process directly from unions of producers, it added.

Last October, the cabinet endorsed multi-billion funds in response to several social and economic pressures the city residents are experiencing.